Pages

Monday, December 10, 2012

Save the Country! Tax the Rich!

There's one tax benefit for the rich that I can't see why anyone would possibly want to defend. That's the deduction of state and local taxes on your federal income tax.

This is a racket perpetrated by the bluest of blue states -- the whole Northeast and California -- in order to foist their profligacy on the rest of the nation. Nearly all the beneficiaries of this deduction are high-income people living in New York, New Jersey, Connecticut, Massachusetts, Maryland (i.e., the suburbs of Washington) and California. And you can bet the vast majority vote Democratic and spend their days congratulating themselves on how progressive they are. Meanwhile, they end up foisting the bill onto the financially responsible Republican states that have nothing to deduct because they have no income tax at all! Try Texas, Florida, South Dakota, Wyoming, Nebraska, Tennessee, and Alaska for starters.

The theory is that the deduction of state taxes prevents citizens from being taxed twice for the same government services. Whoever thought that one up? There is no overlap of services in high tax states that doesn't exist in every state. All the exemption does is allow politicians in profligate blue states to tell their constituents, "Don't worry about our high taxes. You can always deduct it from your federal income tax." (I know, I live in one.) In other words, you can stick it to the rest of the country. If you don't believe it, just listen to Chuck Schumer howl the next time anyone mentions eliminating the deduction. Read more...

7 comments:

Indeed I want to defend the deduction of state and local income taxes on the federal tax. If you pay a state or local tax which most of us do then we do not have that money. You can call it "income" but you don't have it, can't spend it and if you didn't pay it you could go to jail. How in any sane world would you tax money you don't have or get to spend??? I do understand the need liberals have to punish anyone who succeeds but when these crazy tax laws are implemented somehow they trickle down on the middle class. A good example of this is the AMT (alternative minimum tax) which was intended to "tax the rich" but now hits the middle class.

Instead why not make taxes fair: 1) At a minimum we should set a maximum tax after which you no longer have to pay taxes on income. Lets say 50% is the most anyone should pay. If you make a million and give the government half a million then that's it. So if the feds tax you at 40% and the state taxes you at 11% then each of them gets less then the full amount so that your total tax does not exceed 50%.2) At the least everyone should pay taxes, if you only earn $10,000 then you pay 5% which equals $500. If we all had some skin in the game then maybe we would all hold the politicians feet to the fire on waste and spending.

Good day! I could have sworn I've been to this site before but after reading through some of the post I realized it's new to me.Anyways, I'm definitely glad I found it and I'll be book-marking and checking back frequently!Also visit my page : make money online from home

Heya i'm for the primary time here. I found this board and I to find It really helpful & it helped me out much. I hope to give one thing back and aid others like you aided me.Feel free to visit my weblog ; how earn money online